February
2016
RISF-2016: VEGAS LEX on standard construction contracts library
The 5th Russian Investment and Building Forum*, RISF-2016, opened in Moscow on February 17, 2016, an event aimed at identifying promising growth areas for the Russian building industry for the year.
The roundtable, organized by the two industry associations, NOSTROY and NOPRIZ, focused on the development of a library of model contracts for development-related works such as engineering survey, design and construction (modernization) of major structures as well as construction supervision, technical customer functions, equipment supply for construction projects for state and municipal needs**. Maxim Grigoryev, Head of Special Projects at the VEGAS LEX law firm, delivered a report on the issue.
In his presentation, Mr. Grigoryev spoke about the results of the ongoing preparation of a library of standard contracts. In particular, he mentioned the draft model contracts and standard terms and conditions drawn up, where their content came from, the main goals and objectives of these documents. The expert discussed the key contractual instruments used in the model contracts, outlined several important controversial issues to be discussed before using these standard contracts and standard terms and conditions.
The standard construction contracts library will greatly simplify customers' work in preparing their procurement documentation, saving them time, while suppliers will know in advance the conditions to be used in contracts with the government, the regions and municipalities to procure goods, works and services in the respective areas. It is important to note that the library will include the most commonly purchased goods, works and services. The use of model contracts will become mandatory in procurement. The library will not only simplify procurement for the customer, but also prevent abuse during the conclusion, execution and termination of contracts for public needs.
The event was attended by representatives of federal and regional executive bodies, research organizations, and professional associations in the field of construction, engineering services, and others.
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* The Forum was organized by the Ministry of Construction, Housing and Utilities and supported by the Moscow Government, the Federal Fund for Promoting Housing Construction, the National Association of Builders (NOSTROY), the National Association of Prospectors and Designers (NOPRIZ), the National Association of Property Developers, the National Agency for Low-rise and Cottage Construction (NAMIKS), the Russian Chamber of Commerce and Industry, the Agency for Housing Mortgage Lending, and the Moscow Investors Association.
** On July 7, 2014 the Russian Government signed a resolution laying down rules for the development of standard contracts and standard terms and conditions in public procurement contracts.
For more information on VEGAS LEX’s services in the property, land and construction sphere, please go here.
Photo source NOSTROY website
